简体中文
繁體中文
English
Pусский
日本語
ภาษาไทย
Tiếng Việt
Bahasa Indonesia
Español
हिन्दी
Filippiiniläinen
Français
Deutsch
Português
Türkçe
한국어
العربية
Abstract:GBPUSD Outcome Dependent on Key Amendments for Today's Brexit Showdown
GBP Price Analysis and Talking Points:
Brexit Amendments in Focu
Cooper Amendment to Limit GBP Downside
See our quarterly GBP forecast to learn what will drive prices throughout Q1.
Brexit Amendments in Focu
The key risk event today will come in the form of the Parliamentary vote on Theresa Mays Plan B. However, the focus will lie on the amendments that have been tabled by several MPs. Speaker John Bercow will likely announce the amendments selected for voting around 12:45-13:00GMT with MPs set to vote on the amendments from 1900GMT.
Cooper Amendment to Limit GBP Downside
The Brady and Cooper amendment have garnered the most attention in the run up to the vote, with the latter, if successful would force the PM to delay Brexit by 9-months. This could limit downside in GBP, given that this raises the prospect of a softer Brexit thus reducing the likelihood that the UK will leave the EU without a deal.
Option Activity Suggests GBP Volatility
Overnight GBP vols have jumped ahead of todays vote with GBPUSD straddles implying a move of over 1% or 132pips.
List of Tabled Amendment
Amendment A: Corbyn (Labour) – Requires that time is provided for Parliament to vote on options to prevent a no-deal Brexit.
Amendment B: Cooper(Labour)– Attempt to rule out the UK leaving the EU without a formal deal by allowing parliamentary time to pass a new law. The bill to bring in the new law would require the PM to seek to postpone Brexit day until December 31st, if MPs do not approve her deal by February 26th.
Amendment C: Sir Vince Cable(Lib Dem) – Requires the government to rule out a no-deal Brexit and prepare for a “Peoples Vote” in which the public will have the option to remain in the European Union on the ballot paper.
Amendment D:Brake (Lib Dem) – Create a cross party committee to take charge of Brexit process.
Amendment E: Murrison (Conservative) – Would add a deadline of December 31st, 2021 on the Irish backstop.
Amendment F: Benn(Labour) – Would require a series of smaller votes in Parliament on different options for Brexit, to test what would gain the most support from MPs.
Amendment G: Grieve (Conservative) – Requires the government to make time for MPs to discuss a range of alternatives to the PMs Brexit plan on 6 days in the Commons before March 26th.
Amendment H: Creasy(Labour) – Would extend Article 50 in order to allow time for the creation of a 250-member Citizens Assembly to debate Brexit and make recommendations.
Amendment I: Spelman(Conservative)and Dromey(Labour) – Attempts to prevent a no-deal Brexit by adding to the PMs motion that Parliament rejects a no-deal.
Amendment J: Reeves(Labour) – Requires the government to ask the EU to postpone Brexit date (does not specify how long)
Amendment K, L, M: Baron (Conservative) – Calls for the UK to be able to exit any backstop with the EUs agreement.
Amendment N: Brady(Conservative) – Would call for parliament to require the backstop to be replaced with alternative arrangements to avoid a hard border.
Disclaimer:
The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.
A week of consolidation Ahead amid renewed USD strength
GBP/USD Technical Analysis - the pair has bounced back after making a new low for the year. The Pound has seen increased volatility as it looks to hold ground. Will Sterling continue to be undermined and make fresh lows again?
The start of November has been a dwindling moment for the general major currency market. As essential economic updates flood the surface of the entire foreign exchange market, in which most of the currency pairs especially the major pairs were greatly affected by the impact of the economic releases. However, the US dollar was discovered to have held the main currency exchange performance metrics as the central economic updates from the US region tend to have determined the significant changes that have occurred in the major currency market so far.
GBP/USD Volatility Drops Sharply, USD/JPY Rises on BoJ Sources - US Market Open